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Updated almost 6 years ago,
Help me evaluate this Lindbergh Atlanta deal
Hey guys,
I'm under contract for on a Condo in the Lindbergh/Buckhead area of Atlanta for $205k. Its a 2 bedroom, 2 full bath, with a den that can be easily converted to a 3rd bedroom (just needs a closet) - so it is basically a 3/2. The HOA fee is $346. The community is walking distance from the Lindbergh MARTA station, gated, and has a pool, gym, clubhouse, and tennis court. It is also right next to the Beltway/Path 400. It has a wood burning fireplace, built in bookshelves, and outdoor space. It's in move-in ready condition but I'd prob replace the carpet in the bedrooms and do some upgrades in the kitchen at some point.
I plan to live there for a year to take advantage of my VA loan (no money down, 4.4%) and then rent it out. For the area, it seems like a slam dunk deal since everything else comparable in Buckhead is $250k and above. However, when I put out test market ads on FB marketplace, zillow, and hotpads to see what rent I could get, NO ONE is responding. I'd ideally want it to pass the 1% rule and get $2,000/mos at least, but I'm not getting any hits even at $1800/mos. Current owner is renting the unit out way below market at $1,200. I'm renting a one bedroom across the street for $1,350/mos.
What do you think? Is this still a good buy even though I'm not getting responses to my dummy ad for the rent price I would want to get?